In our roundup of weekend news, see
summaries of our selection of South African
labour-related stories that appeared since
Friday, 24 November 2023.
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R30bn more wanted for Nxesi’s ‘dodgy’ scheme Sunday World reports that Department of Employment and Labour (DEL) Minister Thulas Nxesi is looking for R30-billion more to pump into the controversial labour activation programme (LAP) kitty. According to an internal DEL communication, the LAP was allocated a R3-billion budget in the current financial year to fund employability proposals from companies involved in training unemployed people. But, the funds are insufficient to cover the costs of the proposed pipeline projects. By last month, the programme’s commitments stood at R7.4-billion, including R5-billion for a disputed UIF contract with Thuja that has become the subject of legal review. The internal memo noted that in a meeting on 10 October, Nxesi was “shocked to realise that the value of recommended pipeline projects was around R59,4-billion when LAP is only allocated R2,8-billion, which is inclusive of existing commitments”. He apparently then advised the commissioner to consult the then director-general Thobile Lamati and the board to explore the possibility of getting at least R30-billion. Nxesi’s proposal for the additional budget came after information was sent to the Hawks and the Special Investigating Unit (SIU) by a whistle-blower indicating that proposals of several companies funded through the programme were approved without the necessary supporting documents and due process. This was allegedly done on Nxesi’s instructions, either directly or indirectly, through Lamati and Unemployment Insurance Fund commissioner Teboho Maruping. During a media briefing on Thursday, Nxesi welcomed the investigation by law enforcement authorities into the LAP to establish the processes followed and the roles of all parties concerned. Read the full original of the report in the above regard by Setumo Stone at Sunday World Concern over Nxesi's plan to spend R15bn on two million 'work opportunities' before end of March Sunday Times reports that the Department of Employment & Labour (DEL) and its Minister, Thulas Nxesi, are determined to spend more than R15bn on efforts to meet an ambitious target of creating two-million “work opportunities” by the end of the 2024 financial year in March. But some officials and advisory board members of the Unemployment Insurance Fund (UIF) are concerned that this drive will result only in waste. The R15bn will come from the UIF’s surplus funds, and it will be added to the R2.8bn originally budgeted for the fund’s Labour Activation Fund (LAP) in the current financial year, which remains unspent. The department will need permission from Finance Minister Enoch Godongwana to spend the money and UIF officials are preparing a submission to him to allow the UIF to access the R15bn and meet the ambitious employment targets in the “immediate future”. The projects have a litany of issues – the first being the rush to allocate the extra R15bn with less than six months left in the financial year. Despite good intentions, the LAP programme has glaring deficiencies, one of which is the failure of the adjudicating committee, which assesses proposals and recommends projects, to adhere to its own procedures and criteria. A government official commented that Nxesi and senior officials did not appear concerned that the committee had recommended projects far exceeding the R2.8bn approved budget. “The minister kept saying he was tasked by the president to create 2 million job opportunities by the end of March, so one does not know whether this is driven by the elections or not.” Read the full original of the report in the above regard by Sabelo Skiti at Sunday Times (subscriber access only)
Top KZN cop survives third assassination attempt, 'feared drug lord' arrested News24 reports that a 61-year-old man is in jail for planning an assassination attempt on Major-General Francis Slambert, the district commissioner of uMzinyathi in KwaZulu-Natal (KZN). Slambert also survived at least two assassination attempts between May and August this year. She took over as commissioner in 2022. Provincial organised crime officers arrested the man, who is said to be a "feared drug lord in the area", in Dundee on Sunday. He allegedly hired two hitmen to kill Slambert and faces charges of incitement to commit murder and conspiracy to kill. "As a new broom sweeping clean, Major-General Slambert's operations seemed to have destabilised the suspect's clandestine operations," the SA Police Service (SAPS) said in a statement on Sunday. During the man's arrest, police seized his licenced hunting rifle and also found police and court date stamps in his possession. The man is set to appear in the Newcastle Regional Court on Monday. Read the full original of the report in the above regard by Alex Patrick at News24. Read too, Man arrested for conspiracy to kill police major-general, at Daily News Student pilot and instructor seriously injured in Joburg helicopter crash on Thursday News24 reports that a student helicopter pilot and an instructor were badly injured when their R44 Raven II chopper crashed near a Midrand security estate in Johannesburg on Thursday evening. In a statement, the Civil Aviation Authority (CAA) advised: “An instructor and a student pilot were on board the helicopter, where they were conducting training exercises, when the accident occurred. They both suffered serious injuries, with the helicopter substantially damaged during the accident sequence." The CAA added: "The team has been despatched to the accident site to collect evidence that will define the size and scope of the investigation once more information becomes available. A preliminary report will be issued in 30 days from the day of this accident." Read the full original of the report in the above regard by Jeff Wicks at News24. Lees ook, Heli stort neer in Midrand, by Maroela Media Other internet posting(s) in this news category
SARS still mum on court’s ruling that it must pay wage hike it agreed upon with unions BL Premium reports that the SA Revenue Service (SARS) has yet to break its silence over a ruling by the Pretoria High Court directing it to honour the final leg of a multi-term pay deal signed with unions in 2019. SARS spokesperson Siphithi Sibeko said the tax agency was studying the judgment and would respond in due course. If SARS elects to abide by the court’s decision, its estimated 13,000 staff could receive pay increases of 5.75%. The tax authority signed the multi-year wage deal in 2019, pledging to its employees an increase of 8% in the first year, and the consumer price index (CPI) plus 2% in the second and third years. While Sars implemented the wage deal in the first two years, it failed to honour the last year of the agreement, prompting the unions to approach the courts. Judge Elizabeth Kubushi granted the relief sought by the Public Servants Association (PSA) and the National Education, Health and Allied Workers’ Union (Nehawu) and dismissed a counter-application by SARS, which sought an order declaring the wage deal unlawful and invalid. This ruling came against the backdrop of a Constitutional Court judgment in 2022, which stated that the government could back out of implementing the last part of the three-year wage deal signed in the Public Service Co-ordinating Bargaining Council in 2018 because the unions were “unjustifiably enriched” from the “impugned collective agreement”. Read the full original of the report in the above regard by Luyolo Mkentane at BusinessLive (subscriber access only)
Anglo American consults on potential job cuts, while government officials ask for delay until after 2024 elections Bloomberg News reports that Anglo American is considering cutting jobs at two units in SA because of declining platinum-group metal (PGM) prices and bottlenecks curbing iron ore exports. The company has held talks with the government over the potential reduction in its workforce, four sources indicated. Senior government officials asked the company to consider delaying the cuts until after elections likely to take place around May, three of the sources said. According to labour federation Cosatu, Anglo has also spoken to its affiliate, the National Union of Mineworkers (NUM), about the matter. Anglo is already in the midst of plans to slash corporate and head office jobs globally, with many of those positions in SA. Anglo American Platinum (Amplats) — about 79% owned by London-based Anglo — is contending with a 14% fall in the price of platinum this year and a 41% plunge in palladium. Kumba Iron Ore., owner of SA’s biggest iron ore mine and a 70% subsidiary of Anglo, said third-quarter iron ore sales fell 12% from a year earlier, largely because of the poor performance of Transnet. While a final decision on whether to fire workers and how many positions might be affected has not been taken, the job cuts might impact Amplats first. Those at Kumba might be deferred until later. Read the full original of the report in the above regard by Antony Sguazzin, Loni Prinsloo & William Clowes at Moneyweb Ill former gold miners die as compensation cash held back Business Times reports that five years after committing to pay R5bn to impoverished former miners with terminal lung disease, South African gold mining companies have yet to fully deliver. This is according to public interest lawyer Richard Spoor, who brought a precedent-setting class action against them in 2012. The companies, which include AngloGold Ashanti, Gold Fields and Harmony Gold, basked in good publicity after agreeing to a R5bn out-of-court settlement in 2018 for miners with work-related incurable lung conditions. So far only R1bn has been paid out to 11,300 out of 110,000 claimants. “The implementation of these settlements is problematic”, said Spoor, adding that the mining companies were of the view that having concluded the agreement they had discharged their obligation to the miners. “The fact that the agreement isn't being implemented particularly well or efficiently is an issue they haven't focused on. I guess they're still basking in the satisfied feeling you get when you conclude a good agreement and get recognised and acknowledged for making this commitment,” commented Spoor. A trust set up to disburse the R5bn is administratively cumbersome and expensive, and getting money out it has apparently been an uphill battle. The agent representing the mining companies “is not doing what it should be doing to carry out the trust's mandate to compensate as many people as it can within its lifetime,” Spoor asserted. He's been trying to get the mining companies “to prevail upon the agent” to speed up the payments. Meanwhile, thousands with incurable silicosis from inhaling dust during 30 years underground have already died or are in the process of dying, leaving their families destitute. Read the full original of the report in the above regard by Chris Barron at Business Times (subscriber access only) Vantage Goldfields business rescuer resigns citing difference of opinion Moneyweb reports that last week Daniel Terblanche resigned as joint business rescue practitioner (BRP) of Vantage Goldfields, citing a difference of opinion with fellow BRP Rob Devereux. “The ongoing litigation has complicated the business rescue proceedings. Regrettably, the practitioners were unable to participate in the litigation because we were not sufficiently financially resourced to do so,” wrote Terblanche in his letter of resignation to the Companies and Intellectual Property Commission (CIPC). He added that the relationship between the practitioners “has deteriorated considerably during the last week.” Vantage’s Barbrook and Lily mines were placed in business rescue nearly eight years ago after an underground pillar collapse claimed the lives of three workers. Two companies are battling it out to take control of the operations, namely Vantage, backed by Macquarie Metals of Australia, and Arqomanzi, backed by Hong Kong investors. It has been a bitter and protracted battle over who gets to own and control the mines. Trade union Solidarity recently added its voice to the chorus of outrage at the eight-year delay in getting the mines operational again. “Solidarity is deeply concerned that your inaction as BRPs has dragged out the business rescue proceedings of Vantage Goldfields Limited (VGL), Mimco and Barbrook (the three companies in business rescue) to over seven years when the Companies Act provides for a speedy resolution in the business rescue process,” wrote Gideon du Plessis, Solidarity general secretary, in an open letter to the BRPs. Du Plessis warned that the ongoing injustice suffered by workers and the community might force it to approach the courts for a contempt application and to file substantial complaints against the BRPs’ conduct with the SA Institute of Chartered Accountants and the Turnaround Management Association. Read the full original of the report in the above regard by Ciaran Ryan at Moneyweb Other general posting(s) relating to mining
Nedbank’s white CEO pick raises race concerns, is said to be a ‘missed opportunity’ Business Times reports that organisations representing black business have criticised the appointment of Jason Quinn as Nedbank CEO as a “missed opportunity” for transformation and said they would watch him and the bank closely to gauge their commitment to promoting blacks. Quinn, 49, whose previous post was FD of Absa, was named Mike Brown’s successor on Wednesday. He was interim Absa CEO from April 2021 to March 2022. Brown is retiring after the group’s AGM in May. Business lobby groups and analysts had expected a black candidate to succeed him and market watchers were surprised at the choice of Quinn. On Thursday, the leadership of the Black Business Council (BBC) met Nedbank board chair Daniel Mminele to discuss the appointment. BBC CEO Kganki Matabane said the council requested the meeting to get assurances on Nedbank’s commitment to transformation. “We needed to look at the bigger picture. Our comments have nothing to do with Quinn himself. We are talking about the transformation of the country,” Matabane explained, adding that the BBC received assurances that Quinn and the bank were committed to broader transformation, rather than focusing only on the race of the CEO. “When he starts the job, we will meet him and Mminele to agree on a comprehensive socioeconomic strategy, for a framework with tangible deliverables,” Matabane advised. Black Management Forum (BMF) president Sibongile Vilakazi said the organisation was alarmed at the appointment, which she described as a missed opportunity. The Public Investment Corporation, a 13% shareholder, said it would engage the board to understand its rationale and reasons for the appointment of the new CEO. Read the full original of the report in the above regard by Dineo Faku at Business Times (subscriber access only)
UCT staff paid after 'technical glitches' on Friday delayed salaries News24 reports that staff members at the University of Cape Town (UCT), who were reportedly not paid their November salaries on Friday morning due to an apparent "technical glitch", have since been paid. On Friday afternoon, UCT spokesperson Elijah Moholola confirmed that the problem had been resolved. "The human resources [HR] department immediately attended to this issue with the utmost urgency since the very early hours of Friday, with a clear intention to resolve the matter on the same day," said Moholola. By Friday afternoon, salaries started being paid into the staff members' accounts. An earlier internal email sent to UCT staff, indicated that the university had been alerted that due to "unforeseen technical glitches", staff salaries were not paid as planned on Friday, despite the HR department having released funds to the relevant bank as usual. The email stated: “The HR department will also, as a matter of urgency, work with the relevant internal and external parties to establish what led to this glitch in order to avert any possible recurrence in future.” Read the full original of the report in the above regard by Lisalee Solomons at News24 Black Christmas in store for unpaid Damelin and Central Technical College lecturers City Press reports that a Black Christmas is on the cards for some staff members of Damelin and Central Technical College (CTC), which are owned by education investment corporation group Educor Holdings. The entity has allegedly docked salaries for more than two months and abruptly terminated contracts without proper notice. Educor is the largest private education provider in southern Africa, managing 10 educational brands across its more than 60 campuses and sites in SA and internationally. The workers, who have recently affiliated with the SA Federation of Trade Unions (Saftu) through the National Union of Public Service & Allied Workers Union (Nupsaw), alleged that there was illegal non extension of fixed-term contracts, late payment of wages, improper handling of grievances and non-compensation for textbooks purchased with their own money. “At the time of releasing this statement, some lecturers and other staff members are not paid their October 2023 salaries. That is 22 days (about 3 weeks) into November, 8 days before they should be getting their November salaries. But these lecturers are not surprised as this is a usual practice by the Damelin College. Late payment is now a typical problem,” reads the statement from Saftu. Trevor Shaku, Saftu’s spokesperson, further explained that in Damelin’s sister college CTC campuses have been abruptly closed in Pretoria and Johannesburg. Shaku indicated: “Workers were retrenched without proper consultation. These workers have not been paid their September and October 2023 salaries, despite being issued pay slips for both months.” Read the full original of the report in the above regard by Noxolo Majavu at City Press (subscriber access only)
Three nurses at Gauteng hospital in Vosloorus suspended for allegedly neglecting child News24 reports that the Gauteng Department of Health has placed three nurses at Thelle Mogoerane Regional Hospital in Vosloorus on precautionary suspension for allegedly failing to look after a minor patient. This came after a devastated mother posted a video on social media of her child sitting on a bed with soiled linen. Health and Wellness MEC Nomantu Nkomo-Ralehoko, accompanied by senior officials, conducted an oversight visit at the facility on Wednesday. The patient’s mother told the MEC that she had complained to the nurses, to no avail. The department apologised to the family of the minor for the lapse in service, saying this was totally against the oath of office taken by healthcare professionals and was contrary to Batho Pele principles. A "redress" meeting was held between the mother and the hospital team on Thursday and the mother expressed satisfaction with the interventions being made. Last week, the department launched a provincial campaign called "I Serve With A Smile". The campaign aims to address staff attitudes and bolster morale among healthcare workers, in order to improve patients' experience of care, and reduce dissatisfaction and complaints. Read the full original of the report in the above regard by Yoliswa Sobuwa at News24. Lees ook, Verpleegsters geskors wat pasiënt verwaarloos, by Maroela Media
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